Meesho shares hit lower circuit as one-month lock-in expires, more details 

Shares of Meesho, a newly listed e-commerce company, were locked in a lower circuit of 5% on Wednesday. Today's crash comes after a one-month lock-in for anchor investors expired today. The IPO of Meesho opened for subscription between December 3 to December 5, followed by listing on December 10. Meesho's market capitalisation slipped to Rs 78,167 crore

Meesho shares opened over 4% lower to trade around Rs 174.5 apiece on NSE. Later, the Meesho stock hit a 5% lower circuit with a day low of Rs 173.20 and a day high of Rs 180 per share.The stock ended 5% lower at Rs 173.20.  

Meesho shares have dropped 32% from their post-listing high of Rs 254.4. However, they have risen 56% compared to the issue price of Rs 111. 

Around 2% or 109.9 million shares of Meesho's outstanding shares, worth around Rs 2,000 crore, became eligible for trading today. This infers that investors can decide to sell or hold on to the stock. The fall in stock signals the stock has come under selling pressure from anchor investors.  Despite the sharp decline in the stock today, Meesho still trades above its IPO issue price of Rs 111 per share.

Meesho's initial public offering, with an issue size exceeding Rs 5,000 crore, attracted strong demand, subscribed 79 times overall, with the retail category covered more than 19 times and qualified institutional buyers’ quota covered 120 times.

Meesho offered its shares in the price band of Rs 105-111 per share with a lot size of 134 shares. The company raised a total of Rs 5,421.20 crore via IPO, which included a fresh shares sale of 38,28,82,882 shares worth Rs 4,250 crore and offer-for-sale (OFS) up to 10,55,13,839 shares.